Globus Medical (GMED) investor relations material

Executive summary

• Q3 2025 delivered record net sales of $769 million, up 22.9% year-over-year, with non-GAAP EPS of $1.18, GAAP net income of $119 million, and record free cash flow of $213.9 million.

• U.S. sales grew 24.6% and international sales 16.5%, led by strong U.S. spine and Musculoskeletal Solutions growth.

• Nevro acquisition contributed $99.3 million in Q3 revenue, with integration exceeding expectations and positive EBITDA margin.

• Share repurchases totaled $40 million in Q3, $255.5 million year-to-date, with $435 million remaining authorized.

• Adjusted EBITDA margin for the base business reached 35.3%, with consolidated margin at 32.8%.

Financial highlights

• GAAP net income was $119 million; non-GAAP net income was $159.4 million, up 39.8% year-over-year.

• Operating cash flow was $249.7 million; free cash flow reached $213.9 million in Q3 and $579.6 million trailing 12 months.

• Musculoskeletal revenue was $741 million, up 26.2% year-over-year; enabling technologies revenue declined to $28 million.

• Adjusted gross profit margin improved to 68.1% from 66.5% year-over-year.

• SG&A expenses included $28.3 million in one-time litigation charges; excluding these, SG&A was 37.1% of sales.

Outlook and guidance

• 2025 net sales guidance raised to $2.86–$2.9 billion, implying 13.5–15.1% growth over 2024.

• 2025 non-GAAP EPS guidance increased to $3.75–$3.85, up 23.2–26.5% over 2024.

• Nevro acquisition expected to be accretive to 2025 earnings.

• Full-year non-GAAP tax rate expected at 24–25%.

• Q3 included 7 cents of non-recurring tax favorability not expected to recur.